The sole purpose of this thread is to become financially independent. Discuss.
Official SDN Investment Thread (stocks, real estate, taxes, even gold)
- Thread starter OIN23
- Start date
- Joined
- Dec 1, 2015
- Messages
- 1,769
- Reaction score
- 1,801
In.
We need a good dip so I can buy a bit.
We need a good dip so I can buy a bit.
I bought more NIO stocks yesterday....passing my limit (again). NIO just got a buy upgrade with a price target of $24.
My updated guide to building wealth. Simple rules - invest, save and don’t take on bad debt (and marry well).
(1) 401 k: contribute at least to the match which is usually 5%. If you put in a dollar, your company will give you a dollar = $2. Don't ever touch this money.
- Why? Tax saving and retirement money
- How should I distribute my 401 k?
For a new grad: 35% large size companies, 25% small size companies, 20% mid size companies, 20% international companies. Another option is Target Funds (investing based on when you are planning to retire)
Look for Vanguard funds (low fee) and look for the word "index" in the fund name.
(2) Tackle your student loans within the first 5 years. Cut down on unnecessary cost. Don't be foolish and buy a new car. Live with friends or family when possible. If your student loans is 1.5x your annual salary then you should consider getting on income based repayment. PSLF is your best option because everything will be forgiven in 10 years and unlike other income based repayment plan, you don’t have to pay tax on the forgiven amount.
(3) Try to work OT if possible especially when you are being paid 1.5x. Working on holidays also helps. Get a per diem job at a non retail pharmacy if you are working in retail. Nobody wants to do retail for 30 years. You need a Plan B.
(4) Take a small vacation every 6 months. Go with a large group of friends or family. Don't overspend.
(5) Spend your money wisely. If it helps you grow or advance your career, then it may be worth it. Staying at a 4 star hotel? Not worth it.
(6) If you have some money left over:
- First, max out your health saving account (HSA), not the same as flexible spending account. This is your health care money. It gets rolled over if you don't use it. Tax saving.
- Second, max out the rest of your 401 k (up to $19.5 k this year). Again, tax saving and retirement money.
- Third, put money in ROTH IRA (do a back door conversion for high income earner).
(7) Start saving for a house. If you put 20% down, you don't have to pay for PMI (extra cost added to money borrowed from the bank).
(8) Don't spend ridiculous money on your friends or family. You are just a pharmacist, not Rockefeller Jr.
(9) Date someone who is financially stable and has a good career. It helps tremendously. A bad divorce is a destroyer of wealth. Don't forget that.
(10) Put away 6 months of living cost in a high yield saving account (eg Ally Bank) or a money market. Just keep in mind inflation is usually 2-3% a year. Cash is trash in the long run due to inflation.
(11) Rental properties: this is a highly leveraged game but when played right, you can make a load of money. This is only for people who have high income and low debt (banks would not lend you the money otherwise)
- identify an up and coming neighborhood
- only buy positive cash flow properties (rent > expenses including repairs and vacancies). I prefer single family homes because they tend to get better tenants
- find a good property management company
- hold forever
(12) Put 5-8% of your asset in gold when the economy is “doing well”. It serves as a hedge against an economic downturn.
(1) 401 k: contribute at least to the match which is usually 5%. If you put in a dollar, your company will give you a dollar = $2. Don't ever touch this money.
- Why? Tax saving and retirement money
- How should I distribute my 401 k?
For a new grad: 35% large size companies, 25% small size companies, 20% mid size companies, 20% international companies. Another option is Target Funds (investing based on when you are planning to retire)
Look for Vanguard funds (low fee) and look for the word "index" in the fund name.
(2) Tackle your student loans within the first 5 years. Cut down on unnecessary cost. Don't be foolish and buy a new car. Live with friends or family when possible. If your student loans is 1.5x your annual salary then you should consider getting on income based repayment. PSLF is your best option because everything will be forgiven in 10 years and unlike other income based repayment plan, you don’t have to pay tax on the forgiven amount.
(3) Try to work OT if possible especially when you are being paid 1.5x. Working on holidays also helps. Get a per diem job at a non retail pharmacy if you are working in retail. Nobody wants to do retail for 30 years. You need a Plan B.
(4) Take a small vacation every 6 months. Go with a large group of friends or family. Don't overspend.
(5) Spend your money wisely. If it helps you grow or advance your career, then it may be worth it. Staying at a 4 star hotel? Not worth it.
(6) If you have some money left over:
- First, max out your health saving account (HSA), not the same as flexible spending account. This is your health care money. It gets rolled over if you don't use it. Tax saving.
- Second, max out the rest of your 401 k (up to $19.5 k this year). Again, tax saving and retirement money.
- Third, put money in ROTH IRA (do a back door conversion for high income earner).
(7) Start saving for a house. If you put 20% down, you don't have to pay for PMI (extra cost added to money borrowed from the bank).
(8) Don't spend ridiculous money on your friends or family. You are just a pharmacist, not Rockefeller Jr.
(9) Date someone who is financially stable and has a good career. It helps tremendously. A bad divorce is a destroyer of wealth. Don't forget that.
(10) Put away 6 months of living cost in a high yield saving account (eg Ally Bank) or a money market. Just keep in mind inflation is usually 2-3% a year. Cash is trash in the long run due to inflation.
(11) Rental properties: this is a highly leveraged game but when played right, you can make a load of money. This is only for people who have high income and low debt (banks would not lend you the money otherwise)
- identify an up and coming neighborhood
- only buy positive cash flow properties (rent > expenses including repairs and vacancies). I prefer single family homes because they tend to get better tenants
- find a good property management company
- hold forever
(12) Put 5-8% of your asset in gold when the economy is “doing well”. It serves as a hedge against an economic downturn.
For most people, it is better to buy an index fund. Buy it and forget about it. They should not buy a growth stock like Tesla, NIO. They don’t have the stomach for volatility and they don’t have the resources to buy on the dips.
- Joined
- Nov 22, 2009
- Messages
- 7,948
- Reaction score
- 8,104
This is me. Today I cashed out 12.4k in taxable acct cause I kept checking my phone every minute. It was not healthy. I'll have to decide how long to hold cash now, maybe DCA 1k per week or two into ARKK. Or if NIO drops down to $11-12 again I'll put it there haha.
The majority of my money is in index funds. I only went in big in NIO, nothing else.
Losing money day after day is probably one of the most painful things you can experience. You have to know yourself and whether it is worth it or not.
- Joined
- Nov 22, 2009
- Messages
- 7,948
- Reaction score
- 8,104
I was up 30% NIO and 28% WKHS but TSLA basically negated those gains. Got in at the worst possible time. If NIO dips I'll get some more and stick with one individual stock.
Tesla stabilized and we are off to the races!
At best Nikola buys technologies and stitches them together. They don’t have the technical know how.
Still own NIO?
You sold NIO? You got it at $15 right?
- Joined
- Dec 1, 2015
- Messages
- 1,769
- Reaction score
- 1,801
I got in ~$18. I'll hold for a while.
- Joined
- Nov 22, 2009
- Messages
- 7,948
- Reaction score
- 8,104
Yes I sold all of my individual stocks. My average was around $15.
Good luck (to the both of us)! NIO is up, Tesla is down today. NIO beat Tesla in terms of quality according to JD Power.
NIO is China's best quality brand for electric cars, ahead of Tesla, report shows - CnTechPost
NIO is the best quality electric vehicle sold in China, ahead of the Tesla, according to a report released today by market research firm J.D. Power.
cntechpost.com
- Joined
- Nov 22, 2009
- Messages
- 7,948
- Reaction score
- 8,104
Good luck (to the both of us)! NIO is up, Tesla is down today. NIO beat Tesla in terms of quality according to JD Power.
View attachment 318487
NIO is China's best quality brand for electric cars, ahead of Tesla, report shows - CnTechPost
NIO is the best quality electric vehicle sold in China, ahead of the Tesla, according to a report released today by market research firm J.D. Power.
JD also gave Chevy a bunch of awards so...
Everyone talking about EVs but no one talks about the nickel that is needed for all the batteries. What do you think of HNCKF?
Resistance is @ 20 just like @ 15. There needs to be good news for NIO to break 20.
D
deleted126335
Save more. spend less. pay down debt. don't get divorced.
- Joined
- Jul 20, 2015
- Messages
- 527
- Reaction score
- 386
- Joined
- Jan 13, 2009
- Messages
- 174
- Reaction score
- 143
for my self managed portfolio
Largest holdings: $FSLY / $CRWD / $SQ / $SE / $PINS / $GRWG, put majority of my cash evenly into these positions on dips.
Swing Positions: $BGFV / $PEIX
COVID Hedge : $LAKE / $APT
Recently Trimmed: $DKNG and $PTON
ROTH IRA
Lotto Spec play: 50% $FEAC (think will be the next $DKNG) and 50% VSTAX
Not investment advice: please do your own DD
Largest holdings: $FSLY / $CRWD / $SQ / $SE / $PINS / $GRWG, put majority of my cash evenly into these positions on dips.
Swing Positions: $BGFV / $PEIX
COVID Hedge : $LAKE / $APT
Recently Trimmed: $DKNG and $PTON
ROTH IRA
Lotto Spec play: 50% $FEAC (think will be the next $DKNG) and 50% VSTAX
Not investment advice: please do your own DD
- Joined
- Apr 24, 2012
- Messages
- 4,484
- Reaction score
- 5,022
Much of this thread has aged well /sarcasm/
- Joined
- Dec 1, 2015
- Messages
- 1,769
- Reaction score
- 1,801
No thanks. The majority of people here would be much better off learning on their own, and firing their financial advisor.
How to Fire Your Financial Advisor | White Coat Investor
Fire Your Financial Advisor is the comprehensive but high-yield course you were not given in medical school. Go from being financially illiterate to living the good life where financial worries are eliminated and you can focus on what matters most.
www.whitecoatinvestor.com
Last edited by a moderator:
How about VOO for the long term? Most financial professional can't beat their benchmarks, and it surprise me (well, not really) that non-professional think they can do better. No need to make it more difficult than necessary.
